I am assisting a client in setting up their books and need to build a Chart of Accounts (CoA) for their coworking business (similar to WeWork or Regus). The business needs to track tenant improvements (TI) and construction, multiple lease types, fixed assets, repairs and maintenance (R&M), supplies, payroll, membership subscriptions, event planning, and corresponding estimates/project costing—and that's just the basics. Ideally, I want to find examples of charts of accounts from the construction, property management, country club, SaaS, and event planning industries. The idea is: first, consolidate the unique accounts across all these businesses, then plan how revenue and costs are recognized, and set up different entities and sub-ledgers.

Designing a chart of accounts for a coworking business requires comprehensive coverage of assets, liabilities, equity, revenue, and expenses. Below is a suggested framework for key account categories:

I. Asset Accounts

  • Current Assets:Cash, accounts receivable (member receivables), prepaid rent, prepaid insurance, inventory (e.g., office supplies).
  • Fixed Assets:Office furniture and equipment, computer hardware, leasehold improvements (TI)—distinguished by leased or owned assets, accumulated depreciation.
  • Other Assets:Leasehold rights (right-of-use assets), deposits (lease security deposits).

II. Liability Accounts

  • Current Liabilities:Accounts payable, accrued payroll, unearned member fees (deferred revenue), sales tax payable.
  • Long-Term Liabilities:Lease liabilities (finance or operating leases), long-term loans.

III. Equity Accounts

  • Owner investments, retained earnings, current period profit/loss (net income).

IV. Revenue Accounts

  • Membership Subscription Revenue:Monthly/annual subscriptions, daily/hourly usage fees.
  • Venue Rental Revenue:Meeting room and event space rentals.
  • Service Revenue:Printing, coffee bar, administrative support, event planning service fees.
  • Other Revenue:Sponsorships, advertising space, partnership revenue sharing.

V. Expense Accounts

  • Direct Costs:Tenant improvement (TI) amortization, repairs and maintenance (R&M), event planning direct costs (materials, catering, outsourced services).
  • Operating Expenses:Rent (or lease interest and depreciation), utilities, internet, cleaning services, security, insurance.
  • Personnel Expenses:Salaries, benefits, training, recruitment.
  • Marketing Expenses:Advertising, promotions, member acquisition costs.
  • Administrative Expenses:Office supplies, software subscriptions (SaaS), professional service fees (legal, accounting), travel.

VI. Job Costing

For renovation projects or event planning, it is recommended to set up project sub-ledgers, allocating direct materials, labor, and overhead to specific projects. Use a "project" dimension (such as Class or Job in QuickBooks) to track profitability for each project.

VII. Multi-Entity and Sub-Ledger Strategy

If the client plans to set up different entities (e.g., one entity holds the property, another operates the coworking business), set up separate charts of accounts and consolidate via consolidated reports or eliminate intercompany transactions. Sub-ledgers (such as accounts receivable, accounts payable, fixed assets) should be independent of the general ledger to provide detailed tracking.

Reference industries: construction (project costing), property management (leases and maintenance), country clubs (memberships and events), SaaS (deferred subscription revenue), event planning (project budgets). Consolidating the unique accounts from these industries can build a comprehensive chart of accounts that meets the complex needs of a coworking business.

Finally, it is recommended to confirm with the client their accounting basis (cash or accrual) and reporting needs (e.g., by location, by project) to adjust the account hierarchy. When using accounting software (such as QuickBooks Online or Xero), enable "class" or "project" tracking to simplify cost allocation.